Cases such as these are stark reminders for property managers and landlords that neglecting to follow antidiscrimination rules designed to protect renters can come with big consequences. You know the fundamentals of fair housing: You shouldn’t ask any questions or base any housing-related decisions on an applicant’s race, color, religion, sex, national origin, disability, or familial status, and you mustn’t promote a property in terms such as “great building for single professionals.” But knowing the law and complying with it are two different things, which can be made difficult by the continual evolution of case law related to housing discrimination.

Tenant screening provides a first line of defense against discrimination complaints. That’s because differences in factors such as an applicant’s income, employment, references, and credit histories can help justify the selection of one tenant over another and thereby help landlords avoid discrimination charges. Here are eight recommendations for using the screening process to keep discrimination lawsuits at bay.

DO apply your policies and procedures uniformly. Avoid running a full tenant screening report on some applicants and only a credit check on others. If you have a policy of renting to applicants with the best credit, don’t make an exception for a would-be tenant with a better personality but a less positive credit report. Be consistent or be vulnerable to discrimination complaints.

DON’T get too personal on rental application forms. Ask about jobs, previous addresses, income, and references. But stay away from specific questions about spouses or children, as well as other protected characteristics under the Fair Housing Act. (You can provide space for an applicant to list all the individuals who would be living in the apartment.) Even asking the question may give the impression that you would limit housing access based on the answers.

DO choose a “colorblind” screening service. Some services have a scoring system that enables landlords to establish their preferred tenant profile based on specific parameters, such as income, past evictions, and credit score. The software then evaluates each applicant according to the criteria and returns a “recommend” or “not recommend” verdict completely independent of race, religion, or other potentially discriminatory factors. This ensures that applicants are evaluated equally, providing a strong defense, assuming you follow the software’s recommendations.

DON’T automatically reject an applicant with a criminal record. In 2016, the U.S. Department of Housing and Urban Development issued a memorandum on housing providers’ use of arrest and conviction records to make housing-related decisions. According to Jodie McDougal, a partner at the Davis Brown Law Firm in Des Moines, Iowa, these guidelines mean that you cannot have blanket policies excluding all applicants who are felons or consider arrest records. Instead, you should perform a case-by-case evaluation. Read McDougal’s explanation and recommendations.

DO stay abreast of new developments affecting screening. One of them is a pending amendment to the Fair Credit Reporting Act, introduced in Congress last August. Currently, eviction reports used in the tenant screening process can include records dating back seven years. Under the proposed amendment, called the Tenant Protection Act, only eviction records no older than three years and resulting in a judgment that is not being appealed would be allowed. Use of older records would be viewed as discriminatory.

DO keep all documentation for up to 10 years. That includes rental applications, signed releases, tenant screening reports, and any other data or documents collected during the screening process—even if you don’t rent to the applicant. This information may be crucial if a rejected applicant questions your denial or selection of a different tenant. A paper trail can help you prove that the person was not denied residency based on discrimination but because a more qualified tenant was selected instead.

DO send a declination letter when rejecting a potential tenant. This document, also called an “adverse action letter,” specifies the reason or reasons for rejecting a rental application, such as income, employment, or credit history. Some screening services provide free declination letters with all the federally required language, along with a checklist of legitimate reasons for turning down a candidate.

DO call your attorney when in doubt. With new legal challenges and decisions coming out on a regular basis, it’s wise to have a legal resource you can turn to with questions. Find an attorney who can periodically review your rental application form to make it sure it complies with the latest antidiscrimination requirements. It will help prevent you from making a mistake that may land you in court.

The 4 Houseplant Care Essentials No One Talks About

Everyone’s always talking about watering your houseplants like it’s the only thing you need to do to keep them looking lush and beautiful. Not. True. The proof is in the many leafy green things we’ve diligently hydrated and still killed this past year. Just owning a cute watering can doesn’t cut it, folks. According to Christopher Satch, a plant scientist at the beloved potted-plants shop The Sill, there are four other, little-talked-about products you should have on hand when your aloe vera arrives from Amazon—check them out below. Is is it just us or are our thumbs looking a little greener?

1. A squirt bottle

“If you have any one item for your plants it has to be this one. Squirt bottles are necessary for many types of plants—epiphytes like air plants and orchids depend on frequent misting to survive. Humidity-sensitive plants like Calatheas can be kept from crisping their leaves with a few squirts a day, especially in the winter. Spritzing the air can also help raise the humidity, which is both good for you and your plants.”

2. A cloth rag

“There is a lot of dust indoors, and some of it will settle on your plants. This is because your plants are helping to clean the air—both chemically and physically. Physically, dust clings to plants’ leaves, as they are statically charged and so is dust. However, dust blocks the leaves’ pores, so it is necessary to wipe your plants down occasionally to unclog the pores, since it doesn’t rain indoors (hopefully).”

3. Fertilizer

“Fertilizer is essential for the long-term health of your plant. In nature, plants extend their root to mycorrhizal networks to acquire new nutrients. In planters, the nutrients are exhausted after a few months, and in order for the plant to be healthy, you need to add them back in. Think of fertilizer as a plant multivitamin. Extra soil is also good to keep around in case you need to re-pot. Whether you’re re-potting because your plant got too big for its pot, or it got knocked over and needs more soil, extra is always good to have around.”

4. A soaking tray

“It’s not entirely necessary, but a soaking tray makes watering many small plants at the same time very easy. Assuming that your plants are planted in pots with drainage holes at the bottom, you can place them all in a tray, pour warm water in their soil, and let them soak water for a few hours in the tray. Highly recommended for very small plants and orchids.”

The World’s Fastest Car Will Debut at the Geneva Motor Show

A look at the all-new Corbellati Missile, a hypercar that could very well become the world’s fastest car when it debuts at the upcoming Geneva Motor Show.

All images are courtesy of Corbellati

To be the world’s fastest in any category—sprinter, cyclist, roller coaster—means that heads will turn in excitement. But to be the fastest car in the world? That’s a distinction many hold in the highest echelon of being the world’s fastest. Which is why the recent news of the Italian-designed Corbellati Missile debuting at the 2018 Geneva Motor Show in March is so exciting.

If we are to believe what the company is claiming, then we are on the cusp of history. According to the Corbellati family, their upcoming prototyped hypercar will feature a 9.0 V-8 engine that can churn out a shocking 1,800 horsepower and a top speed of more than 310 m.p.h. If all of this turns out to be true, then yes, history will be made as the Corbellati Missile will far surpass the lightning fast likes of Koenigsegg Agera RS (top speed of 284.5 m.p.h.) and Hennessey’s Venom F5 (top speed of 270 m.p.h.).

With its elevated headlights and downward sloping front hood, the prototyped hypercar has a similar design to the iconic Ferrari P4.

Although no one has actually seen the Corbellati Missile in person, pictures of the vehicle suggest the exterior aesthetic is much less menacing than the two aforementioned cars it’s looking to outpace. The angular body of the Missile measures 15.3 feet long and nearly 6.7 feet wide. The fact that almost all of the hypercar is made of carbon fiber, the engine is shockingly powerful, and that its the aerodynamics of the front promise significant downward pressure (keeping the wheels securely fastened to the pavement), means that the Corbellati Missile very well could soon become the world’s fastest car.

Art and Architecture Lovers Will Be Traveling to These 5 Hot Spots in February

Winter blues setting in? Why not plan a trip in February, when you can participate in some of the year’s most exciting design and cultural events? Palm Springs Modernism Week will draw fans of midcentury architecture to the California desert for insider tours of private homes and other sites. The India Art Fair in New Delhi is the event to attend if you want to learn more about contemporary Indian and Asian art. For contemporary African art, head to Cape Town, which will host an art fair of its own. Seattle Museum Month provides the perfect opportunity to visit the Emerald City’s leading cultural institutions at a 50 percent discount. And if you’ve been dreaming about ancient Egypt, now’s the time to visit the country’s archaeological riches with leading tour operator Abercrombie & Kent, which is introducing new luxury tours to meet demand.

Palm Springs

Photo: Bethany Nauert / Courtesy of Modernism Week

For midcentury architecture enthusiasts, Palm Springs Modernism Week is a yearly bonanza. This year’s edition takes place February 15–25 and will open up the city’s most stunning private homes. New this year: tours of a 1975 Moroccan Modern home by architect Hal Lacy, a walking tour of Golden Era Hollywood Homes in the Las Palmas neighborhood (Leonardo Di Caprio owns a home there), and a presentation on Frank Lloyd Wright by noted architecture critic Alan Hess. Stay at William Cody’s 1952 icon, which was reborn as L’Horizon Resort & Spa—a member of Leading Hotels of the World—in 2015 after a $5 million renovation by designer Steve Hermann.

New Delhi

The newly refurbished Oberoi New Delhi.

Photo: Courtesy of Oberoi Hotels & Resorts

The India Art Fair will take place February 9–12, drawing scores of artists and collectors to New Delhi for one of Asia’s most important art fairs. It’s also the best time of year to visit India, as the monsoon season is over and temperatures are generally warm but not too hot. If you’re planning to go, you have a chance to be among the first guests at Oberoi’s newly renovated flagship, the Oberoi New Delhi, which is set to reopen in January after a $100 million renovation by acclaimed designer Adam Tihany. Originally opened in 1965 as the first property in the brand’s portfolio, it’s ready to usher in a new age with larger rooms and suites, three new restaurants, a luxurious spa, and indoor and outdoor pools.

Cape Town

Photo: Mark Williams / Courtesy of The Royal Portfolio

The opening of the Zeitz MOCAA in a grain silo reimagined by Thomas Heatherwicksolidified Cape Town’s reputation as Africa’s most important city for art, and the Cape Town Art Fair (February 16–18) will give art lovers yet another reason to visit. Book a room at the Silo Hotel to stay directly above the Zeitz MOCAA or retreat to Ellerman House, a luxurious Relais & Châteaux property in the nearby posh enclave of Bantry Bay with a world-class art collection of its own. Be sure to stop by Southern Guild, Cape Town’s leading design gallery. It’s worth making a day trip to Stellenbosch to visit the wineries and the Dylan Lewis Sculpture Garden, which was opened to the public for the first time earlier this year.

Egypt

Photo: Courtesy of Abercrombie & Kent

With its ancient pyramids and other wonders, Egypt is a bucket-list destination that just became even more enticing with the uncovering of two tombs in Luxor. The announcement came hot on the heels of the findings this past fall of a secret chamber in the Pyramid of Giza. Despite the State Department’s travel warning, we recommend visiting as long as you go with a trusted tour operator. Abercrombie & Kent works with local guides and experts on the ground to ensure that its trips run smoothly and give travelers a deep understanding of the country’s incredible archeological sites and contemporary culture. In fact, Egypt has been one of the most popular destinations this year for the tour company, which has added new departures in 2018 to meet demand.

The World’s Largest Water Reserve Is Being Built Under a Desert

A road cuts through the sand dunes of Liwa desert in UAE, the sight of the world’s largest desalination water reserve.

Photo: Getty Images/CristianDXB

The United Arab Emirates consumes about 6 billion liters of water every day. As one might imagine, maintaining that supply in the middle of a desert is no easy feat. Luckily, in order to ensure that its residents never go thirsty, the UAE has tapped into the same kind of architectural initiative that’s turned Dubai into perhaps the global capital of grandiose construction projects. Just in time for 2018’s International Water Summit (which runs this week in Abu Dhabi), the Abu Dhabi Water & Electricity Authority (ADWEA) completed the biggest artificially desalinated water reserve on the planet. And where is it located? Roughly 262 feet under the Liwa desert and approximately 100 miles from a coastal desalination plant. Composed of 315 wells, it will take 26 months to fill up its capacity of 26 billion liters of water and will be able to provide locals with 100 million liters (which is about 26.5 million gallons) of water per day.

The $450 million water security measure was a long time coming. First envisioned in 2002, the Herculean hydration project required years of scientific feasibility studies and strategic planning through a collaboration of the ADWEA, its subsidiary organization TRANSCO, and the Environment Agency-Abu Dhabi. As a result, ADWEA head Saif Saleh Al Seairi said in a statement that it’s prepared for contingencies like “storms, a malfunction, a random sea raft, and even the red-tide phenomenon which has been exacerbated by climate change” that can shut down other such desalination plants.

With the prospect of a world where water is a more valuable resource than the UAE’s oil reserves not as improbable as it once seemed, expect previously unthinkable projects to become more commonplace in the years ahead. Hopefully, Al Seairi’s willingness to share project learnings with regional partners will make such safeguards available to other nations at a lower cost.

14 of the Most Beautiful Streets in the World

Not all streets are created equal. Take the colorful Caminito that anchors Buenos Aires’s La Boca neighborhood: It not only provides visitors with a vibrant photo op but also serves as a reminder of how the neighborhood was built in the 19th century. Streets, however, don’t have to offer a history lesson or be rendered in Technicolor to be charming. Some are notable for their stunning natural features, such as the cherry blossom tunnel in Bonn, Germany, which makes an appearance for a few short weeks every spring. Here AD surveys fourteen of the most beautiful streets in the world.

Photo: Getty Images

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Located in the Japanese city of Kyoto is a 1.2-mile-long street named Tetsugaku no michi. The cherry tree–lined road runs parallel to a canal and past Ginkaku-ji temple, a UNESCO World Heritage site. The best time to visit Tetsugaku no michi is April, when the road’s overhanging trees are in full bloom.

Photo: Getty Images

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The buildings that line Shambles—a street in York, England—were erected as far back as the 14th century. The charming timber-framed buildings bend and, at times, hang over the cobblestoned street below.

Photo: Getty Images

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Made famous in such movies as Mrs. Doubtfire (1993) and television shows like Full House (1987-1995), a row of houses on Steiner Street near Alamo Square in San Francisco have become a historic landmark, attracting thousands of tourists each year. The Victorian and Edwardian-styled homes are beautifully painted in various pastel colors.

Photo: Getty Images/Ayhan Altun

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Located in the Andalusian city of Cordoba, Calleja de las Flores is a narrow street that runs right into a plaza. With its many flowers and white-washed walls, the charming Spanish street is very typical of the region.

Photo: Getty Images

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The multicolor homes that line the La Boca neighborhood of Buenos Aires, Argentina, still reflect much of their late-19th-century history. When European immigrants arrived from the Italian city of Genoa, many of them became dockworkers, who, with little to no disposable income, built their homes with thin pieces of corrugated sheet metal from the docks, coated with leftover paint. When one color inevitably ran out, they would simply use another one. And thus a colorful neighborhood was born. Today, Caminito (shown) is brought to life by an artist’s re-creation of the old tenement dwellings that used to line La Boca’s streets.

Photo: Getty Images

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San Francisco’s Lombard Street has become one of the city’s most visited sites. Tourists often gather to watch as drivers make their way through the hairpin turns. Completed in 1922, the street was designed to slow cars down on its steep hill. Drivers are advised to proceed at 5 m.p.h.

Photo: Getty Images/iStockphoto

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The streets of Chefchaouen, a small city in northwest Morocco, are famous for their different shades of blue. Founded in 1471, the city was once used as a fortress for exiles from Spain. Over the centuries, many Jews moved to Chefchaouen, bringing with them the ancient belief that using blue dye would remind people of God’s power. For the most vivid experience, visitors should stroll down such streets as Al Hassan Onsar, Rue Outiwi, and the tight stairs leading up and down Rue Bin Souaki.

Photo: Getty Images/iStockphoto

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Located in Andalusia, Spain, Jerez de la Frontera is a city known for its exquisite wine. Here, a street in the historic center is shaded by grape leaves from vines grown along the surrounding walls.

Photo: Getty Images

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A UNESCO World Heritage site, the 1,000-year-old Old Town in Lijiang, China, is famous for its orderly canals and walkways. Walk along Qiyi Street Chongron Alley or Wuyi Street Wenzhi Alley for some of the more spectacular street views.

Photo: Getty Images

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For two to three weeks each spring, the magical tunnel created by the trees lining Cherry Blossom Avenue in Bonn, Germany, brings in tourists and photographers alike.

Photo: Getty Images

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Bregagh Road in Ballymoney, Northern Ireland, is a birch-lined street designed in the 18th century. Nicknamed Dark Hedges, the road will be instantly recognizable to fans of the HBO show Game of Thrones.

Photo: Getty Images

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Paris’s Champs-Élysées could well be the most famous street in the world. Beautifully manicured trees line the 1.2-mile-long avenue, which stretches from the Place de la Concorde to the Arc d Triomphe (shown).

Photo: Getty Images

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Lined with boats and bicycles, Amsterdam’s many canals have drawn tourists through the ages. But the Brouwersgracht, located a little more than half a mile northwest of the central train station, just might be the most picturesque in the Dutch capital.

Photo: Getty Images

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Águeda’s Umbrella Sky Project began in 2011 as a part of the Portuguese city’s annual Ágitagueda Art Festival. Each summer, when temperatures soar, a handful of Águeda’s narrow streets feature canopies of colorful umbrellas that provide shade to the pedestrians below.

A quintessential small town just isn’t complete without a charming boulevard

Between the major cities on the coasts of the United States are hundreds of small towns where a good portion of the American population lives today. Established over the last two centuries as the country expanded west, the majority of these municipalities have one thing in common: a charming main street. Lined with shops, restaurants, and other small businesses, these broad boulevards— often with their vintage flair intact—are a quintessential hub of any small community. Sure, European towns might have main streets with fairytale-esque cobblestones and half-timbered façades, but nothing says Americana like a paved road flanked by old brick buildings and hand-lettered signs. Here, a look at 15 of the most beautiful main streets across the country.

Photo: Peter Ptschelinzew / Getty Images

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Galena, Illinois

It probably doesn’t come as too much of a surprise that this town is named for the mineral galena, an ore of lead, which has been mined in the area for centuries. It has two other major claims to fame: It was once the largest steamboat hub north of St. Louis, and it was the home of President Ulysses S. Grant (and eight other Civil War generals). Its Main Street has a fun nickname: Helluva Half Mile.

Photo: Getty Images

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Telluride, Colorado

Like many towns in the mountains out West, Telluride was founded as a mining town in the late 19th century, but it became a major ski destination in the 1970s. Colorado Avenue serves as the main drag, perfect for après-ski shopping and dining or a long summer stroll while browsing the windows.

Photo: Getty Images

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Pella, Iowa

Settled by Dutch immigrants in 1847, the town of Pella is a veritable “Little Holland.” It’s home to the largest working grain windmill in the country and has a replica of a Dutch square named Molengracht, complete with a canal, which sits right off Main Street. Visit in May for the annual Tulip Time Festival.

Photo: Getty Images

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Deadwood, South Dakota

Another byproduct of a gold rush—this time the Black Hills Gold Rush—Deadwood grew quickly in the 1870s. It was a true Wild West town, filled with casinos, saloons, and plenty of debauchery. Today it’s still a gambling town, with many historic gaming and drinking establishments lining Main Street, but it’s a much more orderly scene.

Photo: Barry Winiker / Getty Images

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Beacon, New York

Not every town on this list was built during the westward expansion. Two fur traders purchased the land from the native Wappinger tribe in 1683, and a few decades later, two villages were erected on the site. Today it’s best known as the home of contemporary art museum Dia:Beacon, which is a little ways off of Main Street, where you’ll find a collection of restaurants and quirky boutiques.

Photo: J.T. Crawford / Paducah Life Magazine

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Paducah, Kentucky

William Clark—half of the famous explorer duo Lewis and Clark—founded this town in 1827. General Ulysses S. Grant once occupied the city during the Civil War, establishing Paducah as a main supply center for the Union army. In 2013 the town was named a UNESCO Creative City of Crafts & Folk Art. While the main street is Broadway, you can find shops, galleries, breweries, and more across the entire historic district, which is managed by the town’s Main Street program.

Photo: Witold Skrypczak / Getty Images

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Brigham City, Utah

The first settlers in Brigham City, Utah, were a group of Mormons who arrived in the early 1850s. While the town suffered from economic hardship during its early decades, it boomed during World War II when the government built a major hospital there. Main Street nearly bisects the city perfectly.

Photo: Getty Images

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Bedford, Ohio

This suburb of Cleveland was founded in 1823 as settlers began building mills along the waterfall-lined Tinkers Creek. Broadway Avenue is the hub of Bedford’s historic district, which is listed on the National Register of Historic Places.

Photo: Stephen Saks / Getty Images

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Livingston, Montana

The transcontinental Northern Pacific Railway put Livingston on the map when it opened a station in town. (It was the final place an engine could be serviced before traversing the Bozeman Pass.) The community then became the first gateway town to Yellowstone National Park. Main Street might only be a few blocks long, but it’s packed with charm.

Photo: Kent Kanouse via Flickr

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Natchitoches, Louisiana

Natchitoches was actually founded by the French in 1714, making it the oldest permanent settlement in the Louisiana Purchase. Front Street along the Cane River Lake is the town’s main thoroughfare, and it’s lined with plenty of historic buildings housing shops and restaurants.

Photo: Wesley Hitt / Getty Images

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Eureka Springs, Arkansas

Set in the Ozark Mountains, this Victorian town is known for its winding streets that cater to the hilly terrain. (In fact, there are no traffic lights here as no two streets cross perpendicularly.) It’s not just Main Street that’s recognized as historic—the entire town of Eureka Springs is on the National Register of Historic Places.

Photo: Getty Images

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Red Lodge, Montana

Originally a stop for stagecoaches heading west, Red Lodge boomed in the late 19th century when coal was discovered nearby. The town saw an influx of European settlers, not to mention a large group of Native Americans seeking work in the mines, making its small population one of the most diverse in Montana at the time. Broadway Avenue is full of classic Old West saloons, cafés, and bed and breakfasts.

Photo: Josh Miller Photography / Getty Images

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Nevada City, California

During the California Gold Rush, dozens of towns cropped up across the state, one of them being Nevada City. At its peak more than 10,000 residents crammed into the community, though today that population has dwindled to a more comfortable 2,800. Nevada City has largely retained the look of its earliest days, preserving many old structures along and around Broad Street, the historic main route that today is filled with dining options.[The image above of Nevada City has been updated from an earlier version.]

Photo: Stephen Saks / Getty Images

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Port Townsend, Washington

Located on a peninsula north of Seattle, Port Townsend is known for its many Victorian-style buildings. Its waterfront area, home to the main road, Water Street, was designated a National Historic District in 1976.

Photo: Joe Rebello / Getty Images

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Staunton, Virginia

The birthplace of Woodrow Wilson was officially founded in 1747, though the area was settled about 15 years earlier. One of its most famous attractions? American Shakespeare Center’s Blackfriars Playhouse, a re-creation of the playwright’s famous Blackfriars Theatre in London. Staunton’s Main Street was the first in Virginia to be awarded the National Trust for Historic Preservation’s Great American Main Street Award.

From the jungles of Cambodia to the shores of Italy, AD gathers some of the most striking examples of greenery growing along architecture

No matter the structure, architecture, at times, seems to take on a force more powerful than nature. But it’s an illusion. As imposing as brick, iron, and steel appear to be, construction materials often struggle to contain the forces of nature. History has shown that, over the years, even the grandest architectural structures will eventually be reclaimed by the powers of vegetation. And sometimes, the result of this process is quite breathtaking. Here, AD surveys ten of the most striking examples of nature clinging to, and at times engulfing, the architecture in its path. If nothing else, you may never look at a field of green in the same way again.

Photo: Getty Images

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This abandoned seaside town on Shengshan Island, located due east of Taizhou in the East China Sea, has been been slowly overtaken by verdant vines. The island once housed a colony of fisherman, who have since moved back to live on mainland China, leaving the town empty and ripe to be overtaken by the greenery.

Photo: Getty Images

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At one point intended to be the Disneyland of Japan, Nara Dreamland was initially opened in 1961. Yet, after Tokyo Disneyland was opened in 1983, Nara Dreamland became an afterthought for visitors. The park closed in 2006, and became overrun with greenery. In 2016, the entire complex was finally demolished.

Photo: Getty Images

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Along the southwest coast of Italy, near the island of Capri, is the historic valley of Vallone dei Mulini. The topography was created from a volcanic eruption some 35,000 years ago, and deep within it, a derelict 19-century mill that has been overrun by vegetation.

Photo: Getty Images/John S. Lander

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Deep in the jungle of northern Cambodia is Angkor Wat. Covering nearly 400 acres, the temple complex was the capital of the Khmer Empire, whose rule ended in the 15th century. Since that time, the jungle has crept back around and oftentimes on top of the former shrines. Today, the UNESCO World Heritage Site brings in over two million tourists each year.

Photo: Getty Images

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Located roughly 90 miles east of Florence, Italy, is the Parco Sasso Simone e Simoncello, a regional park that contains this clock tower, which is covered in lush foliage.

Photo: Getty Images

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An abandoned villa in Alentejo, Portugal, a town that is about 160 miles northwest of Lisbon.

Photo: Getty Images

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The Tunnel of Love—a railroad that links Klevan, Ukraine, to nearby Orzhov—has become a popular destination for couples to walk along. The overgrown tracks, which run a little more than three miles, are shaded in beautiful greenery from the surrounding forest.

Photo: Getty Images

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Located near the southern tip of Japan is the Kawaminami Shipyard. Built next to Imari Harbour, the structure was once a glass factory and was later converted into a dockyard. It has been abandoned for decades.

Photo: Getty Images

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Built in the 16th century, Torrione della Coscia is an eye-catching watchtower that sits along the shores of Liguria, Italy.

Photo: Getty Images

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The railroad tracks in Taiwan’s Taipingshan National Forest rise over 1,240 feet above sea level. The trails were once used to transport logs.

Why aren’t homebuilders building more homes?

Housing markets all across the U.S. are suffering from serious shortages of homes for sale, and this isn’t expected to change in the foreseeable future.

When I think about inventory levels and the fact that demand is clearly outstripping supply, it makes me question why homebuilders aren’t stepping up to the plate to meet all this pent-up demand.

Interestingly enough, there are several obstacles holding builders back that I think are worthy of further discussion.

According to my calculations, since 2008, builders have started construction of new single-family homes at an average annual rate of about 594,000 units per year. For context, the average annual rate of new-home starts between 1963 and 2007 was over 1.1 million, so we have been behind the ball for some time now.

Although new-home starts have now risen to 835,000 units from the historic low of 353,000 units that we saw in 2009, we are still well below the level that meets demand given new household formations.

Since 2009, new housing supply has consistently fallen short of new housing demand. The shortfall was the largest in 2011 at 465,000 housing units, and cumulatively through 2015, the total shortfall was 2.2 million housing units.

Currently, I estimate that the amount of housing supply necessary to just keep pace with demand is probably around 1.1 million housing units a year; however, housing completions as of May were running at an annual rate of just 817,000 — far below what is needed.

So why is this? The simple answer is that it is very expensive to build a new home.

The expense of building a new home can be essentially broken down into three components: land, labor and materials.

Land

Let’s start with land, which is expensive, and it is very expensive in markets where land availability is scarce (either because of unique topography or political limitations — or both).

This is further exacerbated in markets where the economy is growing rapidly and attracting more new residents.

Another hindrance is the cost of obtaining a building permit, which is remarkably high, thanks to government regulations, and can account for almost 25 percent of the final price of a new single-family home.

Labor

The second thing to consider is labor. As the housing market was entering the Great Recession, many construction workers were laid off and have not subsequently returned.

In fact, my calculations indicate there are currently over 200,000 job openings in the construction industry, and this lack of supply combined with high demand for labor, has led to rising labor costs.

Material costs

Finally, material costs. The cost of homebuilding materials have risen by almost 5 percentdue to high demand and low supply. Everything from the copper used in wiring to the lumber used for framing, continues to escalate at fairly rapid rates.

All of this combined makes it very expensive to build homes — especially affordable homes.

In fact, the National Association of Homebuilders stated back in 2015 that it is difficult to build a home anywhere in America for less than $300,000. Then take into account that only 4 percent of all new homes sold in 2016 were priced below $150,000, and in the Western U.S., just 6 percent were priced below $200,000.

Conditions are particularly tight at the more affordable end of the market, clearly reflecting the fact that fewer entry-level homes are being built.

Between 2004 and 2016, completions of smaller single-family homes (under 1,800 square feet) fell from nearly 500,000 units to only 136,000. Similarly, the number of townhouses built in 2016 (98,000) was less than half the number started in 2005.

It is clear that we need more housing solutions to address the shortages out there, but it won’t be easy.

From a builder’s perspective, they cannot change material costs, nor can they force workers into the construction industry.

However, what they can do, and what needs to be done, is try and shift government policy to better address permit fees, hookup fees, impact fees and the like. If these costs could be lowered, I believe that many builders would have the ability to ramp-up activity in a fairly dramatic fashion.

Given how important increasing the supply of new homes is to the long-term health of the market, I hope that the efforts being undertaken at the national level by the NAHB, and the local level by various homebuilder associations, start to see positive results in the near future.

For the sake of our housing market, we need to make it easier for builders to do what they do best: build homes.